Timing Your Home Purchase in a Hot Housing Market

Whether you have been keeping tabs on the real estate market online or you have heard about local conditions from your real estate agent, you may be aware that the conditions of a seller’s market are in place. This means that there is more demand than supply. The result is rising housing prices, bidding wars and higher-than-asking-price offers. As a homebuyer, your impulse may be to jump into the market before you are ready to. You may be inclined to make a high offer on a home that is not quite right for you without doing market research. What could go wrong?

Regardless of market conditions, buyers must identify a home that meets all of their needs and that is priced affordably. When you feel rushed to make a quick offer, you may not do all of your research on the market conditions, the home’s actual value or its condition. You also may overpay and commit to a mortgage that is too expensive for you to comfortably manage. In this market, the concern about a housing bubble bursting may add to the potentially negative consequences. Because of how important it is to get a good deal on the right home, you should determine what you can afford before you start looking for a home. Then, you should take time getting familiar with the options and locating great terms for a home loan.

At MortgageDepot, we actively help our customers to make smart financing decisions. When you contact us today, we can help you to determine what loan amount you could qualify for and to estimate your monthly loan payment. With this information, you can more easily and accurately define the price that you are willing to pay for your next home. To start exploring your financing options, contact our mortgage origination team today.

Contact one of our loan consultants to learn more.